AirAsia to record higher revenue in Q3

Publish date: Wed, 31 Oct 2012, 12:57 PM
KUALA LUMPUR: AirAsia is expected to record a higher revenue of RM1.24 billion in its third quarter due to a higher yields estimation of six per cent year-on-year and following Malaysia Airlines (MAS) exit from the low cost carrier space.

OSK Research Sdn Bhd said the third quarter stats for AirAsia were commendable, although its Indonesian side reported flattish numbers, as it was operating a smaller fleet with one aircraft less compared to the corresponding period of last year.

"AirAsia's nine-month year-to-date traffic for Malaysia came in marginally better than our forecast at 74 per cent of the full-year Revenue Passenger KM (RPK), compared with 73 per cent in the last year's period.

"This is likely the result of its focus on shortening the average stage length," it said in a research note today.

For the AirAsia business in Indonesia and Thailand, the research firm said the numbers are also in line with its forecast.

"Average stage lengths for the three carriers were lower by 1.1, 8.9 and 5.0 per cent, respectively from last year, suggesting that aircraft utilisation was optimised for shorter routes which are mostly domestic.

"This bodes well for yields and margins, from higher ancillary revenue turnover, and ultimately profitability," it added.

OSK Research has maintained its "buy" call on AirAsia with an unchanged fair value of RM3.91. -- BERNAMA

Labels: CAPITALA

Discussions
1 person likes this. Showing 19 of 19 comments

richman

buy the CU and CW and hold for fat $$$$

2012-10-31 14:22

herbert 456

ok

2012-10-31 14:25

richman

I think today afternoon should be good but hold herbert and you will be rewarded.buy more if you can afford it.for contra 1/2cts to 1 cts no problem esp CU

2012-10-31 14:28

herbert 456

ok, noted

2012-10-31 14:30

richman

when this news is out in the papers tomorrow then you will see it fly along with its CU and CW

2012-10-31 16:00

herbert 456

Absolutely!! :)

2012-10-31 16:01

paris hilton

Air Asia will go dwn further... technically yes..
and one more things i feel that so many of air asia passenger piss of about air asia.. i'm nt racist but i dont like tony fernandez handle the airport.. if i got lots of money like him i will summon air asia.. sorry tony

2012-10-31 20:43

richman

the news is out in the papers watch this stk go up today

2012-11-01 08:44

richman

go for the cu more liquidity

2012-11-01 09:33

richman

COMINGGGGG GO FOR THE cu GUYS MORE MEAT

2012-11-01 09:36

wachin

missed d chance top up airasia-cu...

2012-11-01 09:46

richman

WACHIN STILL NOT TOO LATE Q 3.5CTS

2012-11-01 09:49

richman

mother touch 3.07 CU 4 cts will go if touch 3.10cts 4.5cts

2012-11-01 09:51

herbert 456

ok great!!

2012-11-01 09:53

richman

big players not in yet now only retail players nibbling on the mother.when fund nmanagers like from pmutual or foreign concerns buy in it is going to break 3.10

2012-11-01 10:00

richman

if it stays like this good for the afternoon....read the newsa guys it is in the papers today.I am official promoter here hehehe

2012-11-01 12:11

millionaire

boarding now

2012-11-01 12:19

richman

Airasias rise is mainly affected by politics.the deal with MAS that turned sour would have made this govt disappointed.that is why they are out with MALINDO.The main problem with MAS from their early days is poor management and lots of wastage and leakages.This malindo too will i presume have the same otak udangs running it.what a pity and a duplication of services

2012-11-01 12:29

millionaire

totally agreed

2012-11-01 12:35

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